The following Financial Services practice note provides comprehensive and up to date legal information covering:
Insider trading is usually associated with illegal conduct. However, the term actually includes both legal and illegal conduct. The legal version is when corporate insiders of a public company, eg officers, directors, and employees, buy and sell stock in their own companies. When corporate insiders of a US publicly traded company trade in their own securities, they should report their trades to the SEC. More information about this reporting obligation can be found in Forms 3, 5 and 5 in the Fast Answers databank of the Securities and Exchange Commission (SEC).
Illegal insider trading is the buying or selling of a security, in breach of a fiduciary duty or other relationship of trust and confidence, while in possession of material, nonpublic information about the security (MNPI). Other violations of insider trading violations include 'tipping' such information, securities trading by the person 'tipped', and securities trading by those who misappropriate such information.
Because insider trading undermines investor confidence in the fairness and integrity of the securities markets, the SEC has long treated the detection and prosecution of insider trading violations as one of its enforcement priorities.
In the US, insider trading law is generally interpreted more narrowly than in the UK. A main difference being that under a classical theory of insider trading in the US, the government must prove
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Summary assessment—statement of costsSummary assessment is the procedure whereby costs are assessed by the judge who has heard the case or application (see Practice Note: Summary assessment). This Practice Note considers the use of a statement of costs in summary assessment. Form N260 is a model
Sale of treasury sharesA limited company may hold, or deal with, shares in itself, if certain conditions set out in the Companies Act 2006 (CA 2006) are met. Those shares are held in treasury and referred to as the company's treasury shares.The treasury shares regime is set out in CA 2006, ss
PRA Rulebook—introduction for the insurance and reinsurance sectorOn 29 August 2015, the Prudential Regulation Authority (PRA) published the PRA Rulebook (Rulebook). The transition from the Handbook to the Rulebook was intended to benefit PRA-authorised firms, to access clearer and more concise
Arbitration agreements—definition, purpose and interpretationThis Practice Note considers the nature and scope of arbitration agreements with a particular focus on arbitration agreements pursuant to the law of England and Wales, although it also discusses the concept from an international
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